Svenska Spel Reports Strong Q4 Performance
Svenska Spel ended 2024 on a strong note, maintaining stable revenue levels despite a challenging economic environment and regulatory shifts. The company’s lottery division recorded its highest-ever growth, while the Sports & Casino segment saw an increase in active customers.
Stable Revenue Despite Economic Pressures
In the fourth quarter of 2024, Svenska Spel reported net gaming revenue (NGR) of SEK 2,125 million, maintaining the previous year’s level despite economic headwinds and regulatory changes. The company successfully navigated the transition, achieving a 10% increase in operating profit, reaching SEK 535 million. Cost reductions played a crucial role in this improvement, leading to a higher operating margin of 25%.
The Tur business segment saw a 7% year-over-year increase in NGR, driven by strong performances from Eurojackpot and Triss. This made 2024 a record year for the division, with total revenues exceeding SEK 5 billion. Growth remained consistent across all four quarters, reflecting the sustained demand for lottery products.
Sports & Casino Sees Customer Growth
While responsible gaming policies impacted revenue in the Sports & Casino division, the segment still maintained stable income levels compared to the previous year. The introduction of a new betting platform contributed to an increase in active players, while the 90th-anniversary celebrations of Stryktipset engaged both new and existing customers. However, the Vegas business unit faced a 24% revenue decline, affected by both responsible gaming initiatives and economic challenges impacting retail partners.
Casino Cosmopol reported a important 66% revenue drop due to the closure of two casinos earlier in the year. With only one operational casino remaining, the company faced a natural decline in land-based gaming revenue.
Online Business Continues to Expand
Digital gaming remained a strong growth area for Svenska Spel, with online revenues increasing by 12% year-over-year. Online gaming now represents 59% of total company revenue, up from 52% in the same period last year.
The fourth quarter saw the introduction of “Triss Home Delivery,” a subscription service allowing customers to receive lottery tickets directly at their doorstep. Additionally, Svenska Spel enhanced digital lottery validation, enabling customers to check physical tickets using mobile devices.
Contributions to Society and Sports Sponsorship
As part of its broader social impact initiatives, Svenska Spel distributed SEK 35 million through its “Gräsroten” sponsorship program, supporting over 8,700 sports clubs across 75 disciplines. Additionally, the company extended its partnership with the Swedish Ice Hockey Federation until 2027.
Despite industry challenges, Svenska Spel remains financially resilient, with the board proposing a dividend payout of SEK 1.6 billion. The company’s focus on responsible gaming and cost efficiency has positioned it for future investment and strategic growth.